Rent caps form part of Labour’s new housing plan, announced today.
Labour leader Jeremy Corbyn and Shadow Secretary of State for Housing John Healey say Labour’s New Deal on Housing can fix the housing crisis and have promised to prioritise those let down most by failings in the housing market.
For the PRS the plans include three-year tenancies with an inflation cap on rent rises and the introduction of new minimum property standards.
It also includes proposals to help first-time buyers on ‘ordinary incomes’, including 100,000 new discounted FirstBuy Homes, a two year stamp duty holiday for first-time buyers, and a re-focusing of Help to Buy so that it is only for first-time buyers.
The New Deal also promises an increase in affordable housebuilding, pledging to build 100,000 genuinely affordable homes a year by 2022, including the biggest council housing programme in more than 30 years.
Proposals for rent caps and three-year tenancies were outlined in the Labour manifesto last month.
The RLA opposes both – and says rent controls will only serve to reduce the number and quality of PRS homes.
RLA chairman Alan Ward said: “Rent controls do not work and only serve reduce the supply and quality of homes to let.
“There is little evidence of demand for long tenancies and the PRS is already subject to strict regulations and standards – albeit ones that are not uniformly enforced.
“These policies will do nothing to help the families and vulnerable people renting homes that the party wants to support and protect.”